Prepaid calling cards are useful for making long-distance telephone calls. You pay in advance for the calling service that you can avail anytime. Depending on the cost of the card you receive a specific amount of calling time. As you use the card, the minutes are reduced, until you have used up all the time on the card. You can make long distance or international calls from any telephone using such cards.

Shopping smart for prepaid calling cards can save you a lot of money in the long run, especially on international long-distance calls.

• How to use?
• Where to buy?
• What should you be looking for?
• Which one to choose?
• Rates
• Frauds & scams
• Calling Cards Terminology
• Calling card companies
• Useful Tips
  

When you buy the card you get a toll free number (usually an 800-number), and an individual Personal Identification Number (PIN). For security, the PIN is hidden by a label or scratch-off coating that you remove after buying the card. To place a call, dial the toll-free access number and the PIN. Usually, after you enter the PIN, you will hear a recording about your available minutes or remaining balance. Exact instructions for making the call are provided on the card.

• If calling within North America, the dialing sequence will be 1+ Area code (3 digit) +Telephone number.
• For international calls, the dialing sequence will be 011+ (2 digit) Country code + Area code + Telephone number.
  For instance, if you want to make a call to Mumbai in India you will dial in the order given below. Area code for Mumbai is 022:
  Toll-free number + PIN number + 011+ 91+ 22 + telephone number
  

Prepaid calling cards can be purchased at retail chains, shopping clubs, convenience stores, gas stations, vending machines and neighborhood groceries, as well as by mail and on the Internet.
Cards bought from stores are disposable - you throw them away when all the time is used up. The ones sold on the Internet or by mail, can be recharged by calling the company or logging on to the website and paying for more time.

The key to saving the most money with these cards is to compare not only the per-minute rate but also other charges and fees, which can add a lot to the cost of calls. The following checklist should give you some idea of what you should be aware of before buying a calling card. Specific terms are explained in the section on Calling Cards Terminology

• Total calling time

• Billing increments/rounding-off

• In-state, state-to-state and international rates

• Connection fees, service or maintenance fees

• Ease of connection

• Customer service

• Expiry date

• Delivery charge

• Cost
  

Almost all calling card companies are same, in the way they operate and provide services. Quality of service and connection availability, can certainly not be compared with dedicated Long distance service provider like AT T, MCI or Sprint etc. Its good, but there is no guarantee of full satisfaction.

How do you determine which one to choose?

Asking friends and colleagues is the easiest way to select the right calling card. Shop around for the best rate — pay particular attention to the connection fees and other factors mentioned above as well. If you are buying online, make sure the website and company is authentic. You can check on the background and records of a company at the Better Business Bureau website at www.bbb.org. Always be careful before giving out personal information, credit card numbers etc

Rates

Rates can vary from as low as 3 cents a minute to a high of 50 cents a minute depending on the plan, the country and other factors like connection fee and charges. For instance, major Indian metros have lower rates than the other cities. Rates for calling from cellular phones are often higher.

Sometimes the rates on the card will include all fees and charges, sometimes not. That is why it is advisable to read everything -- even the small print -- before buying a card.

Frauds & scams

Make sure you take the proper precautions before buying calling cards. Here are a few well-known scams:

• Pricing Scam
  Some companies (even well-known and established ones) advertise low rates. But hidden costs and charges add up to a much higher amount. Be sure to read the fine print and terms and conditions.

Do not trust a company simply because you have heard it's name.

• "809" Scam
  You receive e-mail, phone or pager messages asking you to immediately contact a phone number beginning with the area code 809 to avoid some problem or to claim a reward. 809 is actually the country code for the Dominican Republic and you will be charged international rates when calling this number.

Always double check the number you dial. This can be done on the Internet or by calling your phone company.

• Free Phone Card Fraud
  You are asked for personal information (address, phone number and even credit card number) in order to receive a free phone card. You never receive any card but are bombarded with junk mail, telemarketing calls and spam.
  

If you fall victim to a scam

• First call the card company or customer service number on the card, just to make sure there was no mistake.
• Get in touch with various consumer protection organizations, such as:
  -- International Prepaid Communications Association at www.i-pca.org
  -- Federal Trade Commission at www.ftc.gov
• Talk to your friends and colleagues, post messages to discussion boards, such as the one provided here on path2usa.com -- make sure others do not fall prey to the same scam.
  

Calling Cards Terminology:

Connection fee: It's a connection charge for each call you make. It's deducted from your calling card every time you use it. This charge is a per call basis, independent of the call duration. The connection fee is usually higher for dialing internationally and varies depending on the calling plan and country you call.

Billing cycle:

Charges are based on units of time. If you select a card with a 2 minute billing cycle, you will be charged in units of 2 minutes. Hence, even if your call lasts for 7 minutes, you will be charged for 8 minutes. The shorter the billing interval, the less time and money you will waste.
Example: 1-minute billing: You will be billed every minute that you speak, even if you speak for less than a full minute. If your call duration is 1 minute and 20 seconds, the 20 seconds will be rounded off to the next minute and you will be charged for 2 minutes.

Example:
1-minute billing: Round off billing, for example, if your call duration is 1 min 20 sec, you will be charged for 2 min.

Online Calling Card companies

Here are a few prepaid phone card companies and their websites. This list has been provided for your convenience only. Path2usa does not recommend or vouch for any of these companies. Always follow all precautions before making your choice.

Tips